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Results from Portugal’s government-backed 4-day week trial released

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The final report of a government-funded 4-day week pilot program in Portugal has now been published. The study includes 41 Portuguese companies that shortened the working week, 21 of which coordinated the start of a six-month trial in June 2023. The trial was co-coordinated by Dr Rita Fontinha, Director of Flexible Work at the World of Work Institute at Henley, in partnership with the international non-profit organization, 4 Day Week Global, and Birkbeck, University of London.

Over the course of the trial, more than 1,000 workers in these companies reduced their work time by 13.7%.

When assessing the response of companies in the trial, researchers found that:

  • 56% of the initial contacts were made by female leaders.
  • Consulting, Science, and Technology were the most represented sectors in the study.
  • In 51% of companies, workers had one day off per week, while 49% of companies opted for a nine-day fortnight.
  • Companies saw operational and employee performance improvements.
  • 80% of managers rated the test as financially neutral, with only one organisation hiring more workers to complete the trial.
  • Only four of the 41 companies returned to a 5-day week at the end of the test.
  • The probability of reverting to a 5-day week was 8% among the ones who introduced two or more changes in the organisation, and 38% among those who made one or no changes.

When assessing the response of employees in the trial, researchers found that:

  • Before the pilot project, employees worked 41.6 hours (including overtime) compared to 36.5 hours during the pilot (a reduction of 12%).
  • Employees experienced an improvement in mental and physical health and significant reduction in exhaustion and negative mental health symptoms, compared to a control group.
  • Better balance between work, family, and personal life was reported. The percentage of workers who struggled with balancing work and personal life fell from 50% to a remarkable 16%.
  • Increased satisfaction with work and life in general, compared to a control group
  • Workers value this benefit at 28% of their salary. The value attributed to the 4-day week is higher among women, workers with children, those with salaries below €1100, and those with lower qualifications.
  • 93% of workers would like to continue having this work time reduction.

Research coordinator Dr. Rita Fontinha, Associate Professor of Strategic Human Resources at Henley Business School said:

"Like in other international trials, a work time reduction in the format of a 4-day week has a tremendous effect on workers well-being and work-life balance. As such, they value this benefit as if it represented 28% of their wage on average.

As expected, women attribute a higher value to the 4-day week. Perhaps the most surprising finding is that the 4-day week is more valued by low earners and workers without a higher degree, who have less flexibility in managing their working hours and fewer resources to buy services to free their time."

Dr Rita Fontinha

Associate Professor of International Business and Strategy
Published 18 July 2024
Topics:
Henley news Flexible working

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